Draft for discussion Offshore Electricity Transmission milestones 1

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Draft for discussion Offshore Electricity Transmission – milestones (1) 2006/7 GBSO Apr May July

Draft for discussion Offshore Electricity Transmission – milestones (1) 2006/7 GBSO Apr May July - Sept Open S/C Technical standards • Develop principles • Assess options • Prepare discussion papers • Prepare Exec papers Sep • Draft Initial Framework Update Licences Develop principles Assess options Codes Mth KEY: Initial Framework • Authority sign-off Price Control Regime p. 1 Oct/Nov Milestone Consultation Period Geographic scope Allocation method Jan - Mar Open OTEG To. R S/C Plan S/C Jun Open Letter Oct - Dec S/C • Review Responses Jan/Feb • Prep Exec Papers • Draft Conclusions • Authority sign-off Prepare discussion papers Conclusions: Detailed model & price control principles Prepare tender spec Response Period Project Management Apr - June Consult Period Workstream • Prepare Exec papers • Draft Initial Framework • Authority sign-off S/C Workstream Activity OTEG / Board Steering C’tee v 5

Draft for discussion Offshore Electricity Transmission – milestones (2) 2007/8 Workstream Apr - Jun

Draft for discussion Offshore Electricity Transmission – milestones (2) 2007/8 Workstream Apr - Jun Project Management July - Sept Expressions of Interest Oct - Dec Jan - Mar Initial Tender Period Bid preparation Enact Energy Act powers Geographic scope Allocation method Technical standards Price Control Regime Codes p. 2 Detailed Framework KEY: Responses • Prep Exec Papers • Draft Proposals • Authority sign-off July Draft Legislative Texts Mth Milestone • Review responses • Exec • Prepare Exec papers sign-off • Draft Final Consultation • Auth sign-off Dec Final Framework Published 3 -month DTI Consultation Period Licences • Review Consultation Period Apr Consultation Period Detailed Price Control Design S/C Workstream Activity OTEG / Board Steering C’tee v 5

Draft for discussion Offshore Electricity Transmission – milestones (3) 2008/9 Workstream Apr - June

Draft for discussion Offshore Electricity Transmission – milestones (3) 2008/9 Workstream Apr - June July - Sept July Project Management Final tender negotiations Tender Award Oct - Dec Jan - Mar Sept Review Geographic scope Allocation method Regulatory regime in operation Technical standards Price Control Regime Price Control rates of return agreed July Licences Licence Mods Licence Granted Codes p. 3 KEY: Mth S/C Ofgem Milestone Workstream Activity OTEG / Board Steering C’tee v 5